Daily Management Review

South Korea's GDP growth hits 11-year high in 2021


South Korea's economy grew by 4% in 2021, the highest in 11 years, the Bank of Korea said.

"Real gross domestic product (a measure of aggregate GDP) grew by 1.1% in the fourth quarter of 2021 compared with the previous quarter. Real GDP increased by 4 per cent in 2021," the central bank said. Growth in gross domestic income (GDI) was 3%.

Higher GDP growth was recorded in 2010 when the South Korean economy rose by 6.8%.

In 2020, the country's GDP declined by 0.9% when the economy was hit by the coronavirus pandemic. Since then, growth in private and government consumption, investment in facilities and exports has reportedly led to a renewed increase in the annual growth rate.

The categories of imports (11.8%) and exports (9.8%) of goods have seen the highest growth. Both categories showed negative growth in 2020. Private consumption grew by 3.6% last year, while in 2020 it declined by 5%. Declines continue to be recorded in imports of services (-6.1%) and construction (-2.2%).

source: reuters.com